Celsius Resources (ASX: CLA) is set to acquire highly prospective, underexplored ground in the prolific Lachlan Fold Belt region of NSW as it continues to review potential acquisitions and investments.
The company is seeking to acquire the Cullarin West prospect from Syndicate Minerals for 20 million Celsius shares.
The prospect lies in a top region for gold discoveries and is adjacent to and along strike of Sky Metals’ (ASX:SKY) Cullarin discovery which delivered a bumper intercept of 93m @ 4.24 g/t gold earlier this year.
Importantly for Celsius, initial desktop and field visit review indicates Cullarin West is underlain by similar geological and structural features to Cullarin.
Once on the ground, Celsius will begin resampling of a historical drillhole which showed elevated levels of base metals and silver but not tested for gold. The company will also conduct geochemical sampling to define further drilling targets.
With limited historical exploration and located in a highly sought-after region along strike from a noted gold discovery, Cullarin West provides an exciting opportunity for Celsius at a low-cost entry price. Celsius’ Non-Executive Director & Chairman Bill Oliver said.
“We are eager to get on the ground as soon as practical once the tenement is granted and will update investors on activities as they progress.”
Mr Oliver said Celsius would continue to assess other opportunities to diversify Celsius’ mineral exploration portfolio.
Cullarin West also includes historical Gooda Creek and Daltons Goldfields. Gooda Creek is a high-grade, small scale gold mine with limited shallow drilling in 1987 returning 1.95m @ 23.1 g/t gold and 1.0% copper. Daltons Goldfields has witnessed small-scale, high-grade production (+10g/t Au) but little modern exploration.
To assist in its exploration activities, Celsius has appointed two highly experienced geologists Bruce Wilson and Leo Horn as consultants.
Shares in Celsius hit an intraday high of 1.7c in early trade.